Originally Posted by cdnnighthawk
it appears that Sikorsky has been awarded another CAD $2.3 Billion for its sterling performance to date
Some interesting math here:
Ottawa attributes the 78% increase in the ISS contract (from C$3.2 Bn to C$5.7 Bn) to an extension of "the term by an additional 10 years [to 2038] at rates based on those competed in 2004."
However, the original C$3.2 Bn ISS contract was to provide support for the first 20 years of service through
2028, based on the full fleet of 28 aircraft being delivered by 2011. Given that it's now 2014, with the CH-148 still not yet in service, this means that Sikorsky will effectively get C$3.2 Bn for the first 14 years of support (even though the full fleet of 28 aircraft won't be in service until, who knows, 2018?), and another C$2.5 Bn for the next 10 years of support).
Not such a great deal. Methinks someone in the Government is trying to whitewash a poorly negotiated outcome. Why not hold Sikorsky to the original ISS contract from the
actual achievement of EIS, and then add-on another 10-years (i.e. to 2044/45)?
I/C